1)it provides powerful incentives for the steady expansion and improvement of production.
2)it operates to keep the relative size of all the various industries and occupations in proper balance.
3)It makes production accord with the will of the ultimate buyers, the consumers.
4)it ensures that the production of each individual good takes place in a way that is maximally conducive to production in the rest of the economic system.
5)It is what balances the demand and supply of each product.
6) It ensures the most rational and efficient distribution of each product over space and time - among all the markets that compete for it.
7)It ensures the delivery of each product into the hands of those individuals who, within the limits of their wealth and income, need or desire it the most.
8)It ensures the most rational and efficient allocation of capital and of every type of labor and material among its possible alternative uses.
9) It makes the economic system respond to changes in economic conditions in the most rational and efficient manner possible.
10) It prevents any sort of “anarchy of production”.
11) It creates economic order and harmony out of the activities of all the different individuals who comprise the economic system.
12) It is what enables capitalism to be an economic system that is rationally and cohesively planned by each and every individual who participates in it.